Adani group liable for fines slapped on Ambuja Cements and ACC for 'cartelisation'

Gautam Adani.

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26 Aug, 2025 12:21

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Adani group is liable for anti-trust fines against Ambuja Cements and ACC in India which are being litigated in the top court, after acquisition of the Holcim India cement business for $10.6 billion yesterday making it the second-largest cement manufacturer in the country.

“We have sold the company with no further indemnification from our side,” Jan Jenisch, chief executive officer of Switzerland-based Holcim, told investors on a call on May 15.

Ambuja Cements and ACC were found guilty of price cartelisation along with other cement companies in a 2016 investigation by the Competition Commission of India.

The CCI had imposed a penalty of Rs 6,300 crore on 11 cement companies. Of the Rs 6,300 crore fine, Ambuja Cements was liable to pay Rs 1,164 crore and ACC Rs 1,148 crore.

Ambuja Cements and ACC had moved the Competition Appellate Tribunal and later the National Company Appellate Tribunal, which in 2018 asked both the cement companies to pay the penalty.

However, both the companies later moved the Supreme Court that is yet to give a final verdict in the case after agreeing to hear the appeal provided ACC and Ambuja Cements set aside 10 percent of the penalty amount.

Holcim has categorically stated that the deal is contingent upon the Competition Commission of India approving the same. However, with Holcim CEO suggesting that the deal could be wrapped up over the next two-to-three months, it is likely that CCI's approval may not prove to be a major hurdle.

Also Read: Adani Group’s Ambuja-ACC buy: Expensive deal valuation means significantly higher profits required to maintain decent ROE

"Seeking the CCI's approval has nothing to do with the pending litigations," Jensch said.

To be sure, Ambuja Cements and ACC will be liable to pay the penalty only if the Supreme Court upholds the original order by the anti-trust body.

At 12:35 pm, shares of Ambuja Cements and ACC were higher by 3.6 percent each on the National Stock Exchange while those of Adani Enterprises were up 2.1 percent.